Merger-hungry AT&T sued for price gouging by Texas ISP [telecom]

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Awkward timing considering its Time-Warner marriage request

By Shaun Nichols

AT&T has been hit with a particularly badly-timed antitrust lawsuit accusing it of price gouging.

The telecoms giant was sued by Texas-based ISP and TV carrier En-Touch Systems for charging exorbitantly high prices for a local sports channel AT&T owned in the Houston market. The suit, filed in AT&T subsidiary DirecTV's home of Los Angeles, CA, accuses AT&T of violating the Sherman and Clayton antitrust Acts as well as the California Cartwright act.